The Economic Effects Tourism Has on New Zealand The following report provides an accurate and informative overview of the nature of tourism, its history and growth, the structure of the New Zealand industry and the impact of tourism from a New Zealand perspective. The report will draw a conclusion which Highlights area of consideration in tourism planning. Conclusion and Recommendations For New Zealand tourism has a lot to offer but at the same time, care has to be taken not to mistreat it. The social and cultural impacts of tourism on New Zealand so far have been on the whole beneficial but as tourism continues to grow this could change. Non-economic benefits of tourism are maximized when visitors and hosts share mutual interests and when trade is relatively small. However these factors limit potential tourist markets and income. One solution to this problem could be promotion of New Zealand as a high quality destination at a higher price, i.e. less tourists spending more money. New Zealand tourism is largely reliant on 'Eco-tourism' so to maintain the tourism industry it is imperative that our environment is conserved. However tourism itself can have negative effects on the environment. The tourism sector must act responsibly in its use of the environment and any use must be sustainable. It is the economic effects of tourism which bring the most benefit to the host nation. Tourism is a low import user which means more of the money earned here stays here. The government is earning money through tourist taxes such as the airport tax, increased export earnings and income tax revenue from people employed by the industry. A balance must be struck between these benefits and associated negative impacts on the community and the environment. If New Zealand is to see more growth in tourism we must try and make the country more attractive to visit. More flights, low visa requirements, favorable exchange rates are all facilitators that will make New Zealand more appealing. With a high level of promotions overseas that will motivate tourists to think of our country as a destination which will be able to satisfy their needs. The Nature of Tourism There is not really a universally accepted definition of tourism. In 1994 the World Tourism Organization (WTO) revised its definition. It says the tourism comprises of 'the activities of persons travelli... ... middle of paper ... ...ourism has an influence on most areas of society, employment, environment, health, economic stability and quality of life. Therefore it is the concern of governments, the public sector, is to ensure the negative consequences is minimized. At the 1968 UN Conference on International Travel and Tourism it was made clear the government intervention and management is required for the smooth running tourist activities between countries. In New Zealand the biggest participants in creating the creating the tourism product are from the private sector, that is individual operators like airlines, accommodation chains, attractions and tour operators. These sectors have their own organizations. For example hotels are represented by the Hotel Association of New Zealand (HANZ). The sales sector has groups like the travel agents Association of New Zealand or the Inbound Tourism Organizations Council. In Turn they all feed into the New Zealand Tourism Industry Association (NZTIA). The NZTIA can then represent their interests to the New Zealand Tourism Board (NZTB) , which is the country's national tourism Organization, or the ministry of commerce, which is responsible for tourism legislation.
Over the past few years, cruise ships visiting New Zealand has grown drastically. Between 2014-2015 alone, the cruise sector was worth $436 million in value to the New Zealand forecast. This is predicted to grow to a whopping $543 million between 2015-2016. As the cruise ships entering New Zealand are getting bigger and there are more coming, the New Zealand cruise industry will be growing, as well as providing adequate infrastructure. Making these continuous changes is going to have many positive and negative impacts on the country and its residents.
by Gordon Waitt. University of Wollongong, Australia. Tourism management Articles Vol. 17 No. 2. Pg.
Queensland tourism has identified key trends that may shape future tourism, including extreme events, technological development and tourism demand. Consequently, this allows the State to put forward an adequate plan focusing on the domestic market and increasing digital experience through technological advancements. Nevertheless, Queensland tourism’s strategies to capture Asian market and developing transport systems, especially air transport, may not be effective in the light of political unrest, thus, need a number of adjustments accordingly. Appendix 3 provides a detailed comparison between S1 and Destination Success plan.
Currently New Zealand is finally recovering from the rapid economic growth it experienced in the mid-90s, now that the worst of the Asian financial crisis effects are over. New Zealand lost many export markets in Asia, but looked to the U.S. and European markets to replace the lost customers. The country remains dependent on trade due to its small size and isolation; price and access to foreign markets are a constant concern.
A proportion of these visitors are 96% ‘likely’ to recommend New Zealand in future, this has remained unchanged. USA, UK and Germany are most satisfied with their New Zealand Holiday experience. It has been observed that Japanese travellers are significantly more satisfied with their experience compared to past years. Visitors to New Zealand are also highly satisfied with the natural environment. It has been rated a high 9.0 out of ten and receives this high rating across all markets. With 78% believing New Zealand’s environmental practices are better than other countries. It has been found that experiencing natural scenery is a favourite amongst visitors to New Zealand. A decrease has been observed in the past year however, in the average number of activities being participated in, dropping 6.5% in the last year. Price has been seen as a problem in the current state of tourism results, it has been driven by lower satisfaction with price over quality. This has been especially so in the accommodation and food and beverage sector. Both of these are rated as high importance to visitors attributing 29% to the New Zealand holiday experience. Looking more into these sectors it has been observed that food and beverage has rated 8.1 out of ten and accounts for 10% of importance to the New Zealand holiday experience. The quality of food
UNEP, ‘Leakage’ 2013. Negative Economic Impacts of Tourism: Leakage. [online] Available at: http://www.unep.org/resourceefficiency/Business/SectoralActivities/Tourism/FactsandFiguresaboutTourism/ImpactsofTourism/EconomicImpactsofTourism/NegativeEconomicImpactsofTourism/tabid/78784/Default.aspx [Accessed: 10 Nov 2013].
Tourists are more dependable on website to get the information and overview of destination. Therefore one of the website of bay of island is www.tourism.net.nz, which gives complete information. In this assignment, we will mainly discuss about marketing mix, customer wants, creating value for the customer, destination location and tangible experience from tourism marketing perspective.
Today tourism is an important phenomenon. It helps man to find out new things which they are not experienced yet and enhance his life. These travelling of the man from one place to another include pleasure trips, business trips, pilgrimage, educational purpose etc. It has a capacity to transform certain apparently economically useless goods or services into marketable attractions. Such goods and services may include cultural, natural and social assets of the society.
Tourism is often associated with traveling to places away from home. Tourism has a big impact on the economic growth of some countries, which define the shape of their cities by producing different sectors like historic districts, convention centers, museums, malls, hotels, restaurants, and the list can be endless. Furthermore, tourism elements have been developed by cities for a variety of reasons including: situating themselves in the world by drawing a positive image and attracting visitors and for their money.
Tourism-both domestic and international – is taking place on such a large scale that it has become a major world economic activity. Tourism is also described as an ‘Industry’, often termed as a smokeless industry or an industry without the chimneys. Tourism is travel for recreational, leisure or business purposes (Ashworth 2000).
Revenue gained from tourism can be used to improve the organizations and services e.g. new roads and airports, schools ,hospitals and the social environment
Nowadays in the rea of globalization, according to the World Tourism Organization, “seven hundred million people travelled abroad in 2003”, and the number is estimated to increase to 1.6 billion by 2020. (International Labour Organization, 2005). Tourism is spreading in unusual places. A lot of people want to be in the midst of adventure. It is a vital source of revenues for the GDP of many countries. I partially agree that tourism hugely benefits the local community. This essay will discuss some of the economic, social and environment effect of tourism on the host community.
Tourism is based upon the economic and social processes and changes that are occurring in the environment of the societies where tourists come from, its development in destinations focuses on the use of natural and cultural resources which engenders impacts. The consequences of these interactions are often referred to as the impacts/ effects of tourism. Most people think of tourism in terms of economic impacts, jobs, and taxes. However, Kreag (2001) claims that the range of impacts from tourism is broad and often influences areas beyond those commonly associated with tourism.
In the more economically developed countries (MEDCs), synonymous mainly with the industrialised countries of the northern hemisphere there, has been an explosion in the growth of leisure and tourism industry, which is now believed to be the worlds second largest industry in terms of money generated. In order to differentiate between leisure and tourism it should be recognised that leisure often involves activities enjoyed during an individual’s free time, whereas tourism commonly refers to organised touring undertaken on a commercial basis. Development in the two areas could be attributed to changing patterns in working lives within the last four decades. Generally, people now have more disposable wealth, work shorter hours, receive longer, paid annual leave, retire earlier and have greater personal mobility. In addition, according to Marshall & Wood (1995), the growth of the tourist industry per se can be associated, in part, with the concentration of capital; the emergence of diversified leisure based companies, sometimes within wider corporate conglomerates and often associated with particular airlines. Furthermore, the development of tourism can generate employment both directly, in jobs created in the hotels, restaurants etc, and indirectly, through expenditure on goods and services in the local area. Nevertheless, although the tourist industry is competitive, which essentially keeps down the cost of foreign travel, the success of tourism in any one area can be ‘influenced by weather, changing consumer tastes, demographics, economic cycles, government policy, not to mention international terrorism and other forms of conflict.’(1) Although such factors may have a detrimental affect on the economy of a popular tourist destination (or even tourism in general, in light of September 11th 2001), the consequence of tourism in general is often three fold: environmental, social and cultural, which in turn has prompted a search for new ‘friendly’ approaches that are less destructive.
Cultural tourism provides a sense of knowledge to the people visiting the area, and sometimes is extremely beneficial to the people giving the tours. New Zealand is a popular hotspot